Employment law changes April 2016: an eight-point checklist
Every April, new legislation affecting employment rights and responsibilities is introduced. This year, the development receiving the most attention is the introduction of the national living wage. But are you aware of other important employment law changes on their way?
Workers aged 25 and over will be entitled to the national living wage rate of £7.20 per hour from the first pay reference period beginning on or after 1 April 2016.
1. The national living wage is introduced
The national living wage is a new top rate of the national minimum wage.
Employers should check, in particular, that employees’ pay is not brought below the new rate by salary-sacrifice arrangements.
- If 1 April 2016 falls part way through a payroll period, from which date does the employer have to start paying the national living wage?
- Model letter advising a worker of a pay increase because of the introduction of the national living wage
- National living wage survey: January 2016
2. Penalties for non-payment of the national minimum wage are increased
The penalty for employers found not to have paid the national minimum wage doubles from 1 April 2016. The enforcement regime is the same for non-payment of the national living wage.
- Employment law manual: National minimum wage enforcement
- What are the consequences if an employer pays workers less than the national minimum wage?